I've been keeping pace with FCX for a while and have made two successful short trades in it in these past two days, and here's my case for lower prices from here:
Since highs back in June of '08 FCX lost over 87% until finding support in December and has retraced 50% of that move since then.
Looking closer, recently price narrowed into an ascending wedge. Today price tested $73 throughout the morning and failed.take a peek closer:
Now let's look at the fuel that drives price (volume).And finally add in the 3/10 macd
and last but not least, a 15-min chart, the Red & Green horizontal lines are tomorrow's Resistance & Support pivots.
Further upside needs fuel to carry it there, so if it's going up in the next week look for volume to confirm. Otherwise, this thing may start to fall fast.
The setups I include on this blog are used in conjunction with the 3/10macd and the criteria I ascribe to it as a way to alert me to an existing condition of price. The key concept to take away from this blog is that I try to anticipate what will happen on the higher time frame by using a faster time frame to trigger the trade setup. I do not trade a "system" I use two indicators to clue me in to price conditions. Please read the Disclaimer located in the sidebar of this site. I can be contacted via email at firstname.lastname@example.org
I am always open to questions, comments, or suggestions on how to improve this blog.